In April 13th, China Baijiu reporter, through the official website of Anhui economic and information technology department, published the “14th Five-Year” food industry development plan of Anhui Province, and learned that during the 14th Five-Year period, Anhui will build a number of liquor enterprises with higher popularity and competitiveness in China based on the existing 4 Baijiu listed enterprises, and enhance the brand influence of Beijing’s national brands. In fact, Anhui is a large province of Baijiu production and marketing. 4 of the 19 Baijiu listed companies in China are located in Anhui. However, with the intensified competition in Baijiu market, Baijiu liquor is trapped in regional restrictions. Besides the Anhui Gujing Distillery Company Limited(000596) of leading enterprises, the other liquor listed enterprises are not well positioned nationally.
According to the analysis of insiders, Anhui Gujing Distillery Company Limited(000596) has also ushered in new performance goals after entering the “10 billion club”. Judging from the performance in 2021, it is still difficult to break the 20 billion yuan mark. Hui liquor is facing the dual pressure inside and outside the province, and the road ahead is heavy and long.
polarization
In Baijiu industry, the saying “West does not enter Sichuan, and east does not enter Anhui” has long-standing. Chinese Baijiu Baijiu insight Baijiu in 2021 shows that the drinking power of Anhui province ranks third in the whole country from three dimensions, namely, Baijiu liquor permeability, per capita liquor consumption and liquor drinking frequency.
Baijiu Baijiu is also becoming more and more obvious as the competition in liquor market is intensifying. 4 Baijiu enterprises in Anhui province are also immune to spoil. Anhui leading enterprise Anhui Gujing Distillery Company Limited(000596) performance continued to grow, while Anhui Golden Seed Winery Co.Ltd(600199) performance turned from profit to loss again.
The reporter of Beijing business daily combed the 2021 performance express released by the enterprise and learned that the revenue of Anhui Gujing Distillery Company Limited(000596) , Anhui Kouzi Distillery Co.Ltd(603589) , Anhui Yingjia Distillery Co.Ltd(603198) was 13.271 billion yuan, 5.029 billion yuan and 4.577 billion yuan respectively, and the net profit was 2.291 billion yuan, 1.727 billion yuan and 1.38 billion yuan respectively. The estimated net profit of Anhui Golden Seed Winery Co.Ltd(600199) 2021 is 155185 million yuan. It is not difficult to find from the data that the leading enterprise Anhui Gujing Distillery Company Limited(000596) in Anhui Province has consolidated its position of “10 billion” while its performance has increased steadily, while Anhui Golden Seed Winery Co.Ltd(600199) ‘s net profit still jumps repeatedly between profit and loss.
Chinese Baijiu market is becoming more competitive and weaker, or the future trend of the Chinese Baijiu market will be enhanced. For regional liquor enterprises, the future development will be difficult. On the one hand, we should bear the penetration of brands outside the province, on the other hand, we should also bear the squeeze of other brands in the province.
For the further layout of the national market, the reporter of Beijing Business Daily called Anhui Gujing Distillery Company Limited(000596) . As of press time, the enterprise has not replied.
Baijiu, Anhui Baiyang “14th Five-Year” food industry development plan “released by the Ministry of economy and information technology of Anhui province shows that during the” 14th Five-Year “period, Anhui will continuously optimize the layout of liquor industry, and continue to promote liquor technology upgrading, product upgrading, brand upgrading and industrial upgrading, so as to enhance the core competitiveness of Baijiu Baijiu industry in all directions.
domestic and foreign troubles
For regional Baijiu, a commonplace talk of an old scholar is to layout the national market. With the increasing competition in the Baijiu market, Anhui’s market is eroded by many famous liquor companies, and the market expansion is not ideal. In addition to the pan national layout of Anhui Gujing Distillery Company Limited(000596) basic market, Anhui Golden Seed Winery Co.Ltd(600199) is still struggling to turn loss into profit.
It is understood that the overall liquor capacity of Anhui in 2022 is about 35 billion yuan, of which the high-end price is about 4 billion yuan, the main products are flying Moutai, eighth generation Wuliangye Yibin Co.Ltd(000858) , national cellar 1573, Qinghua Lang and other national famous Baijiu products. The secondary high-end price is about 5 billion yuan. In addition to GU20, Anhui Kouzi Distillery Co.Ltd(603589) 20, Yingjia ecological dongcangdong 16, dong20 and other Hui liquor brands, there are also meng6 +, Jiannanchun, Luzhou Laojiao Co.Ltd(000568) Tequ and other enterprise products.
The reporter of Beijing business daily noted through the financial reports of the enterprise over the years that from 2018 to 2020, Anhui Golden Seed Winery Co.Ltd(600199) revenue was 1.315 billion yuan, 914 million yuan and 1038 million yuan respectively, and the net profit was 102 million yuan, – 204 million yuan and 694061 million yuan respectively. The market revenue in the province was 1.058 billion yuan, 810 million yuan and 935 million yuan respectively, and the market revenue outside the province was 149 million yuan, 91.036 million yuan and 883643 million yuan respectively. According to the data, Anhui Golden Seed Winery Co.Ltd(600199) while the revenue and net profit fluctuated sharply repeatedly, the sales revenue in markets outside the province fell for three consecutive years.
In contrast Anhui Gujing Distillery Company Limited(000596) , from 2018 to 2020, the revenue in Central China was 7.867 billion yuan, 9.327 billion yuan and 9.016 billion yuan respectively, that in North China was 437 million yuan, 557 million yuan and 693 million yuan respectively, and that in South China was 368 million yuan, 521 million yuan and 580 million yuan respectively Anhui Gujing Distillery Company Limited(000596) , as a leading Baijiu company in Anhui, has basically completed the nationwide layout and has successfully joined Baijiu club.
Baijiu Baijiu liquor industry veteran to Beijing Business Daily reporter said that from the 4 Anhui Baijiu listed companies performance data is not difficult to find that the competition in Anhui liquor is also increasing. From the perspective of the provincial market, Anhui Gujing Distillery Company Limited(000596) one is dominant, and other brands are in a state of mutual competition. From the Baijiu market, most brands are competing in the stock market except for Kweichow Moutai Co.Ltd(600519) and Wuliangye Yibin Co.Ltd(000858) strong brands. The competition among brands has further increased and market competition has intensified.
find another way
In fact, Anhui Baijiu Anhui Gujing Distillery Company Limited(000596) is a famous liquor, and has certain brand advantages. Anhui Gujing Distillery Company Limited(000596) in recent years, by accelerating the promotion of “nationalization and secondary high-end”, the pan national layout has been preliminarily realized, and the enterprise has successfully entered the “10 billion club”.
It is worth noting that in the face of the disadvantages of regional Baijiu development, Huizhou liquor is also constantly seeking new breakthroughs. In September last year, Anhui Gujing Distillery Company Limited(000596) completed the investment in the rare wine industry and entered the sauce wine market across flavor types. It is worth noting that Anhui Gujing Distillery Company Limited(000596) is not the first time to acquire liquor enterprises across flavor industries. At the end of 2020, Anhui Gujing Distillery Company Limited(000596) acquired 60% equity of Anhui Mingguang Liquor Co., Ltd. In 2016, Anhui Gujing Distillery Company Limited(000596) paid 816 million yuan to acquire 51% equity of Huanghelou Liquor Co., Ltd.
In addition to Anhui Gujing Distillery Company Limited(000596) , Anhui Kouzi Distillery Co.Ltd(603589) launched China’s traditional Baijiu + bubble juice cross border cooperation in 2021 with Anhui Yingjia Distillery Co.Ltd(603198) . In 2020, it launched a joint venture with “the dancing spirits”.
China’s food industry analyst Zhu Dan Peng said that regional Baijiu should focus on the core market, channels, quality and consumer groups in the future development, and only in this way can the survival space and development opportunities of enterprises be ensured. From the perspective of brand, system, customers and team of Anhui Gujing Distillery Company Limited(000596) , it is not enough to support the national strategy of Anhui Gujing Distillery Company Limited(000596) . From the perspective of the cycle of sauce and wine market, Anhui Gujing Distillery Company Limited(000596) entered the Bureau, and the time is slightly behind. Based on the situation of Anhui Gujing Distillery Company Limited(000596) itself, it is difficult to achieve leapfrog growth in terms of growth intensity and volume.
Insiders said that Anhui Gujing Distillery Company Limited(000596) has also ushered in new performance goals after successfully entering the “10 billion club”. Judging from last year’s performance, it is still difficult to break through the 20 billion yuan mark Anhui Gujing Distillery Company Limited(000596) as a regional Baijiu enterprise, the biggest problem before us is nationalization and high-end. Beijing Business Daily reporter Liu Yibo Zhai Fengrui
